2017 -- H 5925

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LC002147

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2017

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A N   A C T

RELATING TO CITIES TOWNS AND CITIES - CENTRAL FALLS RETIREE PENSION

BENEFITS

     

     Introduced By: Representatives McLaughlin, Hull, and Corvese

     Date Introduced: March 16, 2017

     Referred To: House Finance

     It is enacted by the General Assembly as follows:

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     SECTION 1. Chapter 45-21 of the General Laws entitled "Retirement of Municipal

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Employees" is hereby amended by adding thereto the following section:

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     45-21-67.1. Gradual increase of pension benefits for Central Falls retirees.

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     (a) Notwithstanding the provisions of §45-21-67:

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     (1) Effective September 1, 2017, each Central Falls' retiree covered by the terms of the

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settlement agreement enacted pursuant to §45-21-67 shall receive seventy-seven and one half

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percent (77.5%) of their base pension benefit (as such term is defined in §45-21-67(a)(1)), after

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taking into account all applicable cost-of-living adjustments for their lifetime, and to the extent

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applicable, after taking into account all applicable cost-of-living adjustments to their beneficiaries

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for their lifetime;

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     (2) Effective September 1, 2018, each Central Falls' retiree covered by the terms of the

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settlement agreement enacted pursuant to §45-21-67 shall receive eighty percent (80%) of their

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base pension benefit (as such term is defined in §45-21-67(a)(1)), after taking into account all

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applicable cost-of-living adjustments for their lifetime, and to the extent applicable, after taking

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into account all applicable cost-of-living adjustments to their beneficiaries for their lifetime;

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     (3) Effective September 1, 2019, each Central Falls' retiree covered by the terms of the

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settlement agreement enacted pursuant to §45-21-67 shall receive eighty-two and one half percent

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(82.5%) of their base pension benefit (as such term is defined in §45-21-67(a)(1)), after taking

 

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into account all applicable cost-of-living adjustments for their lifetime, and to the extent

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applicable, after taking into account all applicable cost-of-living adjustments to their beneficiaries

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for their lifetime;

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     (4) Effective September 1, 2020, each Central Falls' retiree covered by the terms of the

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settlement agreement enacted pursuant to §45-21-67 shall receive eighty-five percent (85%) of

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their base pension benefit (as such term is defined in §45-21-67(a)(1)), after taking into account

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all applicable cost-of-living adjustments for their lifetime, and to the extent applicable, after

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taking into account all applicable cost-of-living adjustments to their beneficiaries for their

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lifetime; and

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     (5) Effective September 1, 2021 and continuing thereafter, each Central Falls' retiree

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covered by the terms of the settlement agreement enacted pursuant to §45-21-67 shall receive

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eighty-seven and one half percent (87.5%) of their base pension benefit (as such term is defined

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in §45-21-67(a)(1)), after taking into account all applicable cost-of-living adjustments for their

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lifetime, and to the extent applicable, after taking into account all applicable cost-of-living

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adjustments to their beneficiaries for their lifetime.

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     SECTION 2. This act shall take effect upon passage.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO CITIES TOWNS AND CITIES - CENTRAL FALLS RETIREE PENSION

BENEFITS

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     This act would provide that, effective September 1, 2017, all Central Falls retirees

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covered by the Central Falls retirees' settlement agreement would have their pension benefits

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gradually increased during a five (5) year period from seventy-five percent (75%) to eighty-seven

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and one half percent (87.5%) of their base pension benefit amount as of July 31, 2011, after

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taking into account all applicable cost-of-living adjustments for their lifetimes, and to the extent

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applicable, for the lives of their beneficiaries.

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     This act would take effect upon passage.

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